WHAT ARE FUTURE CFDs?
A futures contract is a contract between two parties to buy or sell a specified asset of standardized quantity and quality for a price agreed today (the futures price ) at a specified future date. Futures contracts are traded on a regulated exchange, similar to equities (shares).
FP Markets offers DMA (Direct Market Access) Futures CFDs.
FP Markets offers a range of Index CFDs.
An Index is a measure of a parcel of financial instruments performances. Most index products combine major stocks on an exchange and measure their performance as a whole to give a broad look at the market’s performance rather than being stock specific. Index CFDs (where the underlying asset is an index futures contract) suit traders for either hedging purposes or for those who do not wish to take a stance on a specific stock but a market in general. Another advantage is that Index CFDs trade for almost 24 hours a day. Most futures exchanges trade virtually continuously through until the weekend where they are closed.
At FP Markets we give our clients price feeds directly from the relevant underlying global futures exchange. A list of the futures exchanges we provide are:
- ASX 24 (previously Sydney Futures Exchange)
By giving our clients direct price feeds to these exchanges we provide access to tight spreads at a very low cost. You can trade popular index products such as SPI, S&P 500, Dow Jones, NASDAQ, DAX and more from the one platform.